Rule of 72

The Rule of 72 – The Shortcut to Double Your Money

Gen Y Finance Guy Financial Analysis 7 Comments

How long will it take to double your money? Can you do the math of compound interest in your head? Do you want to extrapolate how long it will take your money to quadruple, octuple, or to hit an even bigger Big Hairy Audacious target, Freedom Fighter? Do you wish there were a shortcut to all these answers? Well, I have good news for you! There is a simple formula you can use to get a decent approximate answer – all without any fancy or complex math. It’s the “Rule of 72.” This simple shortcut will give you an approximate time – in years – that it will take to double your money (investment, net worth, etc). All you have to …

My Interview With Mr. 1500

Gen Y Finance Guy Interview 5 Comments

An oldie but a goodie! This was originally published February 7th, 2015 on the 1500 days blog but doesn’t appear to be live anymore. Maybe I made Carl mad??? Good thing for the Wayback Machine, because I can still give reference to the original publication. If you want to see the original post and comments, you can visit the archive here. I have provided a few updates below in [blue within brackets.] (1) What is the worst financial mistake you made? When I was 20 and very green and naïve to the whole finance thing, I agreed to buy a house as the “credit partner.” The deal was that I would get paid $1,000 per month for letting this “investor” …

Income Report

May 2018 – Detailed Financial Report #41 – Net Worth $791,370 | Income $34,208

Gen Y Finance Guy Monthly Financial Reports 4 Comments

I have that feeling again – like something bad is going to happen. Around this time last year, I wrote about how things were going too well and contemplated what would happen when the music stops (everyone should have a back up plan). When I wrote that post our net worth had just reached $551,510 and our trailing twelve months (TTM) income was $347,539. Things have only continued to surpass my wildest expectations. Our net worth has increased $249,860 since then and our TTM income finished May at $417,214. Mind blowing!!! As you will see below, we are deploying capital at a very aggressive pace. In the long run we will be thankful we did, but I get the sense …

You CAN Get Rich Working for Someone Else Because Your Career Is Worth Millions of Dollars!

Gen Y Finance Guy Career 10 Comments

I hate when I hear people say that you can’t get rich working for someone else. It is such a blanket statement that isn’t even in the realm of truth. First of all, there are jobs, and there are careers. Obviously, you’re not going to get rich working at McDonald’s as a burger flipper. But are you still working your high school minimum wage job, GYFG reader? I think not. First, I’m going to frame this discussion with the following statements: Most of my readers are college-educated (in my opinion, this is the highest probability path – but obviously not the only possible path – to a six-figure income). The average starting salary for a college graduate is $50,000 per year. …

PeerStreet Performance

PeerStreet Performance After One Year

Gen Y Finance Guy Investing 20 Comments

Here on GYFG, transparency is the name of the game. I put my money where my mouth blog is, and show you everything: both what works and what does not. Today it is time to check under the hood of my own PeerStreet experience, and let you know how it’s going. To recap, it’s been a year since I started investing in hard money loans through the PeerStreet platform. Within five months, I built up my initial $5,000 seed investment to $73,000 and in early 2018 I topped my total account value off to make an even $100,000. As I write, the current value of my total investment (across two accounts) is ~$103,000. I want to show you the actual Peer Street …

Financial Freedom

The Five Major Milestones of Financial Independence

Gen Y Finance Guy Financial Freedom 33 Comments

In the personal finance blogging community, we bloggers can disagree on a lot of things. However, one thing we tend to all agree on is what constitutes reaching the all-coveted status of Financial Independence. Many, including myself, believe in the 4% rule (as a guideline), that defines Financial Independence as a portfolio of 25X your annual “burn rate,” which is the amount of money you spend annually to maintain your desired lifestyle. In other words, the 4% rule is the best guide we have to reaching FIRE (Financial Independence, Retire Early). Additional resources on the 4% Rule: The Trinity Study (The study that started it all) The 4% Rule: The Easy Answer to “How Much Do I Need for Retirement?” FIRE Equation: The …

Extra! Extra! Read All About It! Rich Uncles Now Available in All 50 States!

Gen Y Finance Guy Real Estate 4 Comments

The moment we have all been waiting for has finally arrived! The Rich Uncles real estate crowdfunding platform originally launched as a California based fund that invested in Commercial Real Estate, but was only available to California residents only. Then it launched its national fund, which opened up the investment opportunity to many states, but not all 50. That is…until now! I found Rich Uncles back in 2015 when I invested in their first fund, the Rich Uncles Real Estate Investment Trust I. The fact that I was a new investor in the crowdfunding space and Rich Uncles was a relatively new company, led me to tiptoe in by investing $5,000, and then to sit back and just watch. I wanted to …

Income Report

April 2018 – Detailed Financial Report #40 – Net Worth $754,208 | Income $33,587

Gen Y Finance Guy Monthly Financial Reports 14 Comments

Another month ticks by, and with it brings another financial update. Based on the prior two posts I published, you will notice that April was a time for reflection and self-correction. It’s easy to get swallowed up and consumed by the wealth building game. I had to remind myself not to get so consumed building wealth that I forget to build a life. I also had the epiphany that there was no point in being wealthy if I wasn’t both happy and healthy. During that reflective time, I reminded myself why I got into the game in the first place, which was to build enough wealth to get to a point where money was no object. When money is no object, …

What if money was no object?

What If Money Were No Object? [Part One]

Gen Y Finance Guy Words To Live By 15 Comments

I discovered the video below more than three years ago. It really stuck with me, and I knew there would eventually be a time to share it in a blog post. That time has finally arrived. To place this in the context and history of GYFG: I started publicly sharing my monthly financial reports about three and a half years ago (January 2015). In that first monthly financial report, I shared my Big Hairy Audacious Goal of achieving a net worth of $10M and a monthly income of $50,000/month. Pretty “BH&A,” as back then our net worth was just shy of $200K and our monthly income was projected to average ~$15K/month (or $178K annually). But fast forward to 2018 and our net worth …

Happy & Healthy

If You’re Not Happy or Healthy, What Is the Point of Being Wealthy?

Gen Y Finance Guy Words To Live By 14 Comments

I have many character flaws. This I know. But there is one thing I’m really good at – finding the positive in every adversity. I have found this skill, this ability to extract the lesson or silver lining, to be invaluable in my journey. It’s required me to develop a keen sense of self-awareness and an open mind. It allows me to convert, rather than accept, the cards I’ve been dealt, and to try to play the best hand I can. Currently, I am leaning hard into this ability, by necessity. For most of my youth and into my early twenties, I thought I was physically invincible. Don’t we all? I took on unsustainable workloads. I did workouts without regard to …